Construction

With its low debt-to-GDP ratio, abundant resources, growing consumer demand, healthy political discourse and rising investment, Indonesia is set to lead the region and could become the world's sixth-largest economy by 2030. The country has 111 commercial ports, more than 200 airports, an estimated 17,508 islands and around 245m people. But its...

In 2010-11 and 2012 through September, little foreign direct investment (FDI) was committed to Indonesian infrastructure. But a good deal has been promised lately, and significantly it has been promised by countries known for their patience, ability to work through bureaucratic delays, and relative insensitivity to risk and guarantee issues. It is...

The growth of Indonesia’s construction sector is largely being driven by a rapid ramping up of manufacturing investment. Until a few years ago the country was not favoured as a place to locate factories. A weak domestic market, substandard infrastructure, corruption, high interest rates, complex tax policies and better opportunities elsewhere...

After a decade-plus of going nowhere, the value of real estate and rental rates are rising so fast that Jakarta has been identified by PwC and the Urban Land Institute as the most promising property market in the region in 2013. Many forces are at work, some short term and others more long term and significant.

Many countries in Asia have historically had weak property rights, outright restrictions on foreign ownership, or both. However, most have a strong bias toward property investment, and often view the health of the real estate market as an indicator of overall economic well-being. The result is a patchwork of regulations from Jakarta to Beijing that...

Even without clarity on foreign investment, the Indonesian property market is strong and on a sound footing. Demand, especially from end users, is robust, the macroeconomic situation is relatively good – growth rates are high and inflation is low – and direct investment is at record levels.